The Ontario government has announced the start of construction of Enbridge Gas’s $358-million Panhandle Regional Expansion Project.

Premier Doug Ford was among those on hand in Leamington to make the announcement on July 19.

The project is expected to secure approximately 7,000 jobs, and enable $4.5 billion of investment opportunities in the province.

“Our government is continuing to secure the reliable and affordable energy that is critical to our plan to rebuild Ontario’s economy, keep costs down for families and build homes across the province,” Ford said. “This project will help deliver that reliable energy supply and, in the process, create good-paying jobs, support our world-leading greenhouse sector and power Ontario’s economic growth for many years to come.”

This project will lead to the construction of approximately 19 kilometers of new pipeline that will parallel the existing pipeline and increase the capacity of Enbridge’s Panhandle Transmission System. The pipeline expansion is expected to encourage economic development in Southwestern Ontario and support the growth of the region’s greenhouse industry.

“A continued priority for our government is delivering affordable energy to Ontario families,” said Energy Minister Stephen Lecce. "Our population is growing, and the economy is electrifying, which underscores why our government is determined to generate more clean and reliable energy to drive our growth. The Panhandle Transmission System is a vital part of that vision as it helps to ensure that families and businesses across Southwestern Ontario have access to affordable power now and into the future, while creating 7,000 good paying jobs.”

The new pipeline will also help supply the electricity generation needed to meet the province’s growing energy demands, due to increasing electrification, strong population and economic growth. Access to a reliable and affordable electricity supply is increasingly a key priority for companies, particularly those investing in large-scale manufacturing projects.

“This new investment in natural gas energy expansion will enable the rapid continued growth of our world-leading greenhouse industry in Southwestern Ontario and strengthen the province’s agri-food sector,” said Sam Oosterhoff, Associate Minister of Energy-Intensive Industries.

The Panhandle Regional Expansion Project is part of Ontario’s efforts to meet the province’s growing energy demands.

"Enbridge Gas is committed to meeting the energy needs of Southwestern Ontario. Through the expansion of the Panhandle system and increased access to energy at the Enbridge Gas Dawn Hub, we are proud to support the region's growth by providing reliable and affordable energy to residential, commercial, and industrial customers,” said Michele Harradence, EVP and President, Enbridge Gas Distribution & Storage. “This major natural gas project reflects our dedication to serving the community and powering the progress of Ontario's southwest region."

In May 2024, the Ontario Energy Board granted Enbridge Gas leave to construct for the Panhandle Regional Expansion Project, permitting the project to proceed.

The project has a targeted in-service date of November 1, 2024, with additional construction related to the project to be completed in 2025.

The Panhandle Transmission System currently serves residential, commercial, industrial, greenhouse and power generation customers in Dawn-Euphemia, St. Clair, Chatham-Kent, Windsor, Lakeshore, Leamington, Kingsville, Essex, Amherstburg, LaSalle, and Tecumseh.